E-mini S&P falls within broad channel bear

Brooks Price Action - 10-24-2012 Wednesday

Broad channel bear, outside down bar day.

Wednesday, October 24, 2012

Bar 1 - Yesterday ended with expanding triangle bull flag. Strong bull bar but top of expanding triangle so top of trading range. Wait. Weak signal bar for fail, failure breakout and high of the day. Fomc report 11:15 so might enter tight trading range after 8:30 or so

Bar 7 - Outside down bar on report but trading range pa so far and within trading range of yesterday

Bar 9 - Bull inside bar, two legged pullback in a bull move, bottom half of yesterday trading range, but 3t tail. Better to wait. So far, trading range day so better to buy low of week sell high and scalp. When in doubt, wait for second signal buy

Bar 18 - Breakout pullback buy or long but top of trading range and most breakout fail, failure. Better to wait to see if get breakout. Tight trading range is bad pa for stop entries, especially buying at top or selling at bottom and hoping for breakout

Bar 19 - Possible triangle 7 15, second entry sell at top of trading range day. Bull body so lp sell or short signal bar and might be better to wait, but trading range day so often get bad signal bar